Professional liability question

[Leftie]

I intend to take this one up with my insurrrs ASAP but a client has asked whether we will indemnify them against claims arising from our operation of a staff selection system they have designed. Basically, they designed a system which we operate for them.

My thought is that if we operate it as they have designed it, then the liability if there are problems (e.g. unjustifiable bias or lack of job relevance) is their risk. I think we are only liable if our people as a result of our people not operating it in accordance with instructions. Any views?

The other thing is that most of my interviewers are self employed and work on a per-interview basis. Will that liability for operating outisde instructions be with them or us if they cock it up or act in a discriminatory manner? (in which case I guess they should have their own risk insurance).

Edited by Leftie on Sunday 19th November 18:08

[singlecoil]

I can't comment on the first two paragraphs, but the answer to the third would really depend on whether or not your interviewers really are self-employed. As I am sure you already know, the Revenue have a series of tests that they use to determine self employment and if your interviewers pass that then I expect that you would not be liable. Would they pass, though?

[Leftie]

singlecoil said:

I can't comment on the first two paragraphs, but the answer to the third would really depend on whether or not your interviewers really are self-employed. As I am sure you already know, the Revenue have a series of tests that they use to determine self employment and if your interviewers pass that then I expect that you would not be liable. Would they pass, though?

I am fairly confident with the HMRC self employed bit for the vast majority of them, but I think how HMRC see them and how the insurance people may see them may be different

[Leftie]

Insurance company say the liability for the system lies with the user (the client) and from there to us if we have been shown to be negligent. Looks like my part-timers are covered, as the user would have to sue us first. We will have to revamp our QA to show we took all reasonable steps.